Key Takeaways:

• Givaudan delivered strong sales of CHF 3.86M ($4.86M) in the first half of 2025. The company’s free cash flow turned negative (-CHF 16M ($20M) year-over year (YoY) CHF 197M ($248M) in 2024, due to investment timing and tax settlements.
• While Fragrance & Beauty drove the topline with 8.6% like-for-like (LFL) growth, Taste & Wellbeing also contributed, with South Asia, Middle East, Africa achieving standout growth of 12.7%.

In the first half of 2025, Givaudan demonstrated its hallmark consistency and market resilience, delivering solid results despite currency headwinds, higher input costs, and broader geopolitical uncertainties. The company’s 2025 Half-Year Results Report outlined a landscape of strategic stability, continued innovation, and targeted growth—particularly in high-potential segments like Fine Fragrance, regional customer bases, and new material solutions.

Total group sales rose to CHF 3.86M ($4.86M), a 6.3% increase on a LFL basis, and 3.4% in Swiss francs. While currency pressures, particularly the strength of the Swiss franc, muted reported figures, the underlying business momentum remained robust across all geographies and product divisions. Fragrance & Beauty (F&B) led the charge with 8.6% LFL growth, including an 18.0% surge in Fine Fragrance, while Taste & Wellbeing (T&W) grew by 4.1% LFL, driven by regional expansion and demand for health-forward applications.

Profitability remained strong despite increased cost pressure. Comparable EBITDA reached CHF 973M ($1.2B) with a margin of 25.2%, and net income came in at CHF 592M ($745M)—15.3% of sales. Although free cash flow turned negative (CHF -16 million ($20M), this was attributed to timing effects related to investments and tax cycles, rather than operational inefficiency.

Strategically, Givaudan is on track to exceed its 2025 organic growth ambitions, with average LFL sales growth from 2021-2024 already at 7.2%. With a focus on sustainability, innovation, and inclusive growth, the group is preparing to announce its 2030 strategy in August. Overall, these mid-year results reinforce Givaudan’s positioning as a stable leader in sensorial innovation and high-value specialty ingredients.

Categorized Key Statistics

Sales & Segment Performance

• Total Group Sales: CHF 3,86M ($4.86M)—a 6.3% increase on a LFL basis; 3.4% increase in Swiss francs
• Fragrance & Beauty (F&B): CHF 1.96 ($2.46M)—an 8.6% LFL growth; 7.0% growth in CHF
  • Fine Fragrance: 18.0% LFL growth
  • Consumer Products: 6.1% LFL growth
  • Fragrance Ingredients & Active Beauty: 5.7% LFL growth
     
• Taste & Wellbeing (T&W): CHF 1,91M ($2.4M)—a 4.1% LFL growth; slight 0.1% decrease in CHF

Regional Sales Growth (Like-for-Like)

• Asia Pacific: 2.1% growth
• South Asia, Middle East, Africa: 12.7% growth
• Europe: 4.2% growth
• North America: 2.0% growth
• Latin America: 4.1% growth
• High Growth Markets: 10.0% growth (CHF 1.88M ($2.36M) in sales)
• Mature Markets: 2.9% growth (CHF 1.99M ($2.5M) in sales)

Profitability Metrics

• Gross Profit: CHF 1.7M ($2.14M)—a 3.4% increase
  • Gross Margin: 44.0% (compared to 44.1% in the first half of 2024)
    
    
• Reported EBITDA: CHF 945M ($1,189M)—a 4.4% increase
  • EBITDA Margin: 24.5%
    
    
• Comparable EBITDA: CHF 973M ($1,224M)
  • Comparable EBITDA Margin: 25.2% (up from 24.8% in 2024)
     
• F&B EBITDA: CHF 525M ($660M)—a 26.9% margin
  
  
• T&W EBITDA: CHF 420M ($528M)—a 22.0% margin

Operating Income

• Total Operating Income: CHF 762M (4.5% increase)
  • Operating Margin: 19.7% (vs. 19.5% in 2024)
  • F&B: CHF 443M (22.7% margin)
  • T&W: CHF 319M (16.7% margin)

Net Income & EPS

• Net Income: CHF 592M ($744M)—a 0.7% increase
  • Net Income Margin: 15.3% (compared to 15.7% in 2024)
     
• Earnings per Share (Basic): CHF 64.18 ($80.66)—compared to CHF 63.76 ($80.15) in 2024

Cash Flow & Investments

• Operating Cash Flow: CHF 248M ($312M)—a 41.9% decrease
• Free Cash Flow: CHF -16M ($20M)—down from CHF 197M ($248M) in 2024
  • As Percentage of Sales: -0.4% (compared to 5.3% in 2024)
    
    
• Net Investments (Property, Plant, Equipment): CHF 145M ($182M)
• Intangible Investments: CHF 24M ($30M)
• Total Capital Expenditure: 4.4% of sales (up from 3.4% in 2024)

Financial Position & Debt

• Net Debt (June 2025): CHF 4,490M ($5,640M)—up from CHF 4,002M ($5,028M) in December 2024
• Net Debt/EBITDA Ratio: 2.5 times (improved from 2.9 times in June 2024)

Strategic & Long-Term Guidance

• 2025 Strategy: “Committed to growth, with purpose”
  • Target: 4-5% average annual organic sales growth over five years
  • Free Cash Flow Target: 12% or higher over the same period
     
• Average Organic Growth (2021-2024): 7.2%
• 2030 Goals (to be announced August 27, 2025):
  • Double the business through purpose-led innovation
  • Achieve climate climate-positive status before 2050
  • Become an industry leader in inclusion before 2025
  • Ensure 100% ethical sourcing by 2030

Givaudan’s 2025 half-year performance reflects a balance of resilience, precision, and future-readiness. Despite FX volatility, geopolitical uncertainty, and rising input costs, the company delivered healthy growth across all divisions and geographies, with standout performance in Fine Fragrance and high-growth markets.

“We are very pleased with our continued strong financial performance in the first half of 2025, despite an environment with ongoing geopolitical and macro-economic challenges. Sales remained strong with good growth across all business segments, geographies, and customer groups, against very strong prior year comparables,” Gilles Andrier, CEO of Givaudan, said.

While profitability remained robust, the negative free cash flow indicates a need for cautious short-term cash discipline due to front-loaded investment and tax timing. Yet, the long-term narrative is clear—Givaudan is well on track to surpass its five-year growth targets and is poised to enter the next strategic cycle with confidence and purpose. “These results once again demonstrate the value that Givaudan brings to its customers through our highly specialized products and solutions,” said Andrier.